NBAA Welcomes Senate Passage of FAA Reauthorization Bill

Legislation Tweaks GA Fuel Tax to Help Fund Aviation Modernization

Washington, DC, March 22, 2010 – The National Business Aviation Association (NBAA) today welcomed Senate passage of a three-year bill to fund the Federal Aviation Administration (FAA) and continue transformation to a Next Generation Air Traffic Control, or “NextGen” aviation system.

“NBAA and other general aviation associations have been strong advocates for proposals to modernize the nation’s aviation system, and the action taken by Senate leaders today marks a good step in that direction,” said NBAA President and CEO Ed Bolen.

The House approved its version of multi-year “reauthorization” of programs and funding for the FAA last year. The House and Senate funding measures mirror previous modernization proposals supported by NBAA, in that they increase the general aviation fuel tax from 22 to 36 cents per-gallon to help fund system transformation.

“Importantly, the legislation builds on the fuel tax to help pay for modernization, instead of resorting to user fees," Bolen said. “This approach is the one uniformly supported by general aviation to help pay for ‘Next Gen’.”

Bolen noted that throughout the FAA reauthorization process, NBAA and other general aviation organizations have pointed out that unlike user fees, fuel taxes are paid at the pump, making them an efficient, effective, reliable and environmentally sensible way for those using general aviation aircraft to help pay for FAA funding and infrastructure investments.

The Senate measure, which passed by a vote of 93-0, follows 11 funding extensions that have been enacted as part of the reauthorization process. The two different bills must now be reconciled into a single piece of legislation before being sent to the President for his signature.

“We look forward to working with leaders in both the House and Senate toward passage of final legislation to modernize the nation's aviation system so that it remains the world's largest, best and safest,” Bolen concluded.

# # #

Founded in 1947 and based in Washington, DC, the National Business Aviation Association (NBAA) is the leading organization for companies that rely on general aviation aircraft to help make their businesses more efficient, productive and successful. The Association represents more than 8,000 companies and provides more than 100 products and services to the business aviation community, including the NBAA Annual Meeting & Convention, the world's largest civil aviation trade show. Learn more about NBAA at www.nbaa.org.

Members of the media may receive NBAA Press Releases immediately via e-mail. To subscribe to the NBAA Press Release e-mail list, submit the online form at www.nbaa.org/news/pr/subscribe.